Exploration And Option Agreement Entered On The McDermitt East Project
VANCOUVER - US Critical Metals Corp. (USCM) along with its wholly-owned subsidiary, US Energy Metals Corp. (USEM), entered into an Exploration and Option to Enter Joint Venture Agreement with respect to the McDermitt Lithium Project in Nevada, with Live Energy Minerals Corp., a public British Columbia company, and its wholly-owned Nevada subsidiary, Lithium Valley Holdings Corp. (LVH), providing the Company with the option to acquire up to a 50% interest in the Project and a further option to acquire an additional 25% interest for an aggregate total of 75% interest in the Project.
This includes the Clayton Valley, the only lithium producing basin in the US and the McDermitt Basin, the first potential basin to produce lithium from clay in the US. MLEP is located east of Thacker Pass, which is the largest known lithium deposit in the US and one of the largest in the world with 3.7 million tonnes of lithium carbonate equivalent reserves at 3,160 ppm lithium1. As Thacker Pass advances towards production, USCM believes that a significant derisking and revaluation of lithium clay projects will occur.
USCM intends to immediately commence with the geologic mapping, geochemical sampling and permitting with the BLM to position the Project as fully drill ready. LIVE's preliminary sampling program involved surface claystone (rock) from a historic, shallow trench (1907 ppm Li) and two soil samples (30 and 32 ppm Li). Recognizing that the area is under sampled, the high lithium value is from intra-caldera lake sediments along the margin of the McDermitt Caldera which has prompted USCM to move aggressively in securing this unique opportunity. USCM will work closely with LIVE to further advance any and all activities leading to a maiden drill program.
The Transaction is at arms-length and closing is subject to acceptance of the Option Agreement by the CSE and satisfaction of other customary closing conditions.